Big Data and the Welfare State
How the Information Revolution Threatens Social Solidarity

This book explores, theoretically and empirically, the consequences of 'Big Data' for the politics of social protection.

Torben Iversen (Author), Philipp Rehm (Author)

9781009151399, Cambridge University Press

Paperback / softback, published 19 May 2022

230 pages
22.8 x 15.1 x 1.5 cm, 0.4 kg

'This book will change the way we think about the welfare state. Iversen and Rehm develop an innovative argument about the central place of information at the heart of the welfare state and how the Big Data revolution threatens to undermine fundamental principles of social insurance and solidarity. A must-read for anyone interested in political economy and inequality research!' Marius R. Busemeyer, Professor of Political Science, University of Konstanz

A core principle of the welfare state is that everyone pays taxes or contributions in exchange for universal insurance against social risks such as sickness, old age, unemployment, and plain bad luck. This solidarity principle assumes that everyone is a member of a single national insurance pool, and it is commonly explained by poor and asymmetric information, which undermines markets and creates the perception that we are all in the same boat. Living in the midst of an information revolution, this is no longer a satisfactory approach. This book explores, theoretically and empirically, the consequences of 'big data' for the politics of social protection. Torben Iversen and Philipp Rehm argue that more and better data polarize preferences over public insurance and often segment social insurance into smaller, more homogenous, and less redistributive pools, using cases studies of health and unemployment insurance and statistical analyses of life insurance, credit markets, and public opinion.

1. Introduction
2. A theoretical framework
3. A brief analytical history of social protection
4. Private markets for life and health insurance
5. Credit markets
6. Labor market risks
7. Conclusion.

Subject Areas: Political economy [KCP], Comparative politics [JPB], Welfare & benefit systems [JKSB]